Economics
Today's Selloff Is Testing One of 2017's Top Stock Trades
- Growth names had outpaced value at fastest rate since 2009
- Decline in growth shares exceeding the retreat in value stocks
Gkionakis Says Market Will Be Driven by Momentum
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Since the post-election "Trump-reflation trade" hit a wall at the start of the year, there’s been one trade that investors in the equity market could count on: buying shares of companies with the best outlook for earnings growth.
Stocks in the Russell 2000 growth index rallied 15 percent this year before Thursday. Relative to a 3.5 percent gain in value stocks, it’s the biggest advance for those shares over any eight-month stretch since 2009, according to data compiled by Bloomberg.